On the occasion of the 20th anniversary of China’s accession to the WTO, the fourth China International Import Expo has arrived as scheduled. In addition to the record-breaking number of participating countries and businesses, this CIIE has exhibited more exhibits making their global debut and containing cutting-edge technologies. All keen businesses have been aware that the Chinese market is changing and moving towards the middle and high end, which undoubtedly provides another good opportunity for global trade and economic development.

We often said that China is a huge market with 1.4 billion consumers. In 2018, China’s total retail sales of consumer goods reached 38 trillion yuan, making China the world’s second largest consumer market. At the centenary of the founding of the Communist Party of China, China has completed the building of a moderately prosperous society in all respects with high quality as a distinctive feature of its economy. COVID-19 has not affected Chinese people’s enthusiasm for consumption. In the first three quarters of this year, China’s per capita consumption expenditure reached 17,275 yuan, with Shanghai continuing to lead the country with 35,499 yuan. In particular, middle and high-end consumption in medical care, culture, communication, entertainment, transportation and tourism, etc. is growing rapidly. China’s consumption structure is quietly shifting from quantity growth to quality improvement. This CIIE fully demonstrates that China’s consumption structure is undergoing transformation and upgrading. For the first time, the National Healthcare Security Administration signed contracts collectively with Novartis, Bayer, Sanofi and other foreign-funded giants to purchase more than 47 billion yuan of imported medicines and consumables. For the first time, Christie’s, Sotheby, Heni and other overseas cultural relics and art operators joining the CIIE signed contracts of intent on the first day. Various kinds of high-tech, futuristic technology products are showcased.

“As for China, we will not change our resolve to open wider at a high standard; we will not change our determination to share development opportunities with the rest of the world; and we will not change our commitment to an economic globalization that is more open, inclusive, balanced and beneficial for all.” Whoever neglects China’s huge market will let opportunities slip away. At present, there are more than 400 million middle-income people in China. According to Brookings Institution, by 2030, China’s consumption is set to account for 22% of the global total, and the number of middle-class people is expected to grow by 850 million to account for 73% of the country’s population. China’s consumption upgrading is a general trend. Chinese consumers’ demands are becoming more personalized and diversified, and they are more and more keen on high-quality and new technology products. China’s consumption transformation and upgrading will drive the transformation and upgrading of the world economy. Whoever can’t see China’s consumption upgrading can’t see new opportunities. I’m afraid those protectionists who have science and technologies hidden up and engaging in science and technology containment will not even have a chance to enter the market in the future. The CIIE is becoming another window of China, witnessing the ever-changing world. High-quality brands and high-tech exhibits will continue to be the “hot cakes” on the CIIE, and that’s always the case.

Written by Zhao Wenbin (Deputy Director of Political Department of Shanghai Customs)